Developer Moves Forward with Dixie Cup Redevelopment Despite Setback
Plans to redevelop the former Dixie Cup factory in Wilson Borough into 405 apartments are set to continue, despite a rejection of a crucial tax incentive. Developer Brian Bartee, of Skyline Investment Group, announced that the $160 million project will move forward even after the Northampton County Council voted against a proposal for Tax Increment Financing (TIF) in early November.
The TIF proposal aimed to allow local taxing authorities to postpone increases in the property’s assessed value for a specified duration. This arrangement would have enabled the tax revenue generated from the higher assessment to be allocated towards repaying bonds issued for the construction. While both the Wilson Borough Council and the Wilson Area School District approved the TIF, the council’s rejection has raised questions about the future of the project.
Bartee expressed disappointment over the council’s decision but remains committed to the redevelopment. “This was not an unexpected result,” he commented to Lehigh Valley Business. “I had a plan for this. It’s not going to slow us down. It’s too important for too many people.”
The developer indicated that he might seek TIF support again next year, especially considering that the three council members who opposed the measure did not win re-election.
Concerns raised during the council meeting included potential tax burdens shifting to local residents and the sufficiency of the $1.1 million allocated for affordable housing within such a large project. Additional issues included the duration of the TIF, which was set for 20 years, and doubts about the long-term financial projections associated with the redevelopment.
In reaction to the council’s decision, Northampton County Executive Lamont McClure criticized the members for being “out of touch” with the community. He described the rejection as a missed opportunity for economic growth and community investment, stating, “They continue to prove themselves to be the most useless county council in home rule history.”
As the redevelopment plans proceed, the focus will likely shift to addressing the concerns raised by the council while ensuring that the project meets its objectives. The outcome of future discussions regarding TIF support will be pivotal in shaping the trajectory of this ambitious redevelopment initiative in Wilson Borough.
